A recent report for the Department for Education and Skills suggests that in 1999 -2000, the average cost of following through and supporting the Investors in People process, including overheads, was £6,058 (and higher if TEC support and overhead costs are included).

The figures come from data supplied by 11 former Training and Enterprise Councils, during their last year of operation.

These figures refer to the costs incurred by the Training and Enterprise Councils as part of their funded work. The proportion of this cost which was recovered by TECs from charges varied between 6% and 100% depending on their local policies. Many TECs charged heavily subsidised fees, averaging less than one-third of the full cost, so the average contribution of employers was under £2,000.

Around 30% of participating employers would have undertaken employee development activities without the support of their TEC for IiP recognition; the majority of employers valued the support with the TEC was able to provide them

Investors in People reinforce the point that the delivery costs to the TEC do not reflect the cost of achieving IiP status borne by the companies involved. Large corporations will have very significantly greater costs associated with implementing all the necessary procedures, whilst smaller companies with only a handful of employees will meet the requirements at a much lower cost. Many TECs extensively subsidise the process, the extent of which depended on their local policies. Training and Enterprise Councils were themselves superceded by Learning and Skills Councils in April 2001.

Further information about procedures and costs for achieving IiP is available directly from Investors in People.

SMEs wishing to look at becoming recognised for IiP can get support and advice from their local Learning and Skills Council or the Small Business Service.

Correction: In an earlier version we mistakenly attributed the source of this story to the Learning and Skills Council. The original source is available at http://www.dfee.gov.uk/research/re_brief/RB274.doc. Our apologies to the Learning and Skills Council. The original story did not make clear that these costs were borne by the TEC and that the extent to which companies were charged was variable locally. The debate in the Comments below indicates the experience of several members. Information about your costs would be welcome using the Comments facility.